HOW TO BUY AN INDEX FUND UK using Vanguard - Investing Stock Market for Beginners Tutorial

[@davidmelrose8051]

Could you show how you would sell an investment on vanguard and how to withdraw the money cheers

[@decdoesinvesting622]

Index funds are a great way for beginners to invest in the market until they’re confident enough to pick their own stocks. Great informative video!

[@Falky1]

I started investing into my ISA on Vanguard towards the end of last year, thanks to you! So once again thank you!

[@Sabhail_ar_Alba]

I've been with Vanguard three years and have transferred two ISA's and a pension fund into two different funds. They are performing well despite the pandemic and thoroughly recommend. My only regret is not investing earlier.

[@ReydiantReality]

Again, liked before I watched. I literally rave about you to anyone that will listen. Thanks SO much for this Video Jen. Amazing ! And so easy to follow. I have your Spreadsheet bundle and it’s literally amazing !! Thank you for everything ! 🙏🏽😊🙏🏽

[@JenniferAMThomson]

Ahhh you are a sweetheart - thank you!! We must speak in 2020!

[@yinsoen]

I invested USA equity sp500 etf for 3 years. About 28% Roi 😊

[@jaywarriuk]

Worth mentioning that you do not have to buy etf’s with the ‘buy live’ button which costs £7.50. You can still buy them like you do with index mutual funds with the ‘buy at next trading point’ button.

[@JenniferAMThomson]

Great point James - Yes you are indeed right, just that would be the obvious time you would need to click that button instead :) Thanks for that!

[@puddy1603]

The Vanguard website says the Lifestrategy funds are passive but when I go into the details why does it say the fund is actively managed by an Investment Advisor? Just checking as I want to invest passively and am interested in the Lifestrategy funds. Thanks!

[@palm6714]

Thank you Jennifer, I am also a Glasgow resident. I started investing with vanguard after watching your videos. U

[@JenniferAMThomson]

Fantastic to hear - and lovely to have a fellow local person on the journey with me!

[@TheDrMoShow]

This is amazing Jennifer. I have been investing with Vanguard for a while and taught a few people how to invest in it, going to share this video with them because this explanation couldn't be clearer.

[@JenniferAMThomson]

Thank you so much for that very kind comment and feedback - share away!

[@soneysebastian829]

Thank you ,I started investing ...after seeing your videos

[@trayavlon]

So happy I came across your channel 🙏

[@ryan_toye]

So would you recommend getting an investment ISA and hold the stock Vanguard S&P 500 and just top it up with money every month. I’m sure even warren Buffett suggests it 😂

[@MAZ6970]

Great video Jennifer I’m new to investing in stocks but have recently opened a stocks & shares ISA with vanguard. I didn’t realise I could use the surplus cash to buy other stocks that are different from my regular monthly amount. Thank you so much

[@NathanHQ]

Hey Jennifer, nice video. Yer it's amazing that 95% of active investors do not beat the market. Index trackers are the way

[@JenniferAMThomson]

Totally agree!

[@Khalil.Ibrahim]

When opening the account, if I choose 100 deposit every month, can I stop depositing say after 2 or 3 months or would I e better off paying a lump sum of 500?

[@Mini-n6l]

Love your videos. Love your transparency!!!

[@MrMkapusta]

My family and I have been using Vanguard for years. Great investing options and low fees. Many people complain about customer service not being available after business hour or the website being hard to navigate. Never had a problem so far.....

[@JenniferAMThomson]

Thanks for sharing that - I have found the same too.

[@steewizk]

Great video, Just one question, is using vanguard the same as using interactive investor or is one better than the other?

[@professionalgambler74]

Absolutely brilliant video. I was going to message and ask if you could do one of these. Very clear and easy way of investing.

[@JenniferAMThomson]

Great - glad to have helped!

[@dannyd0g]

Great job of making all this so accessible. Thank you so much!

[@JenniferAMThomson]

Glad it was helpful!

[@8lack8erry1]

i get so hyped up when i watch your videos. I will be investing very soon. thank you x

[@JenniferAMThomson]

Glad you like them!

[@ryanjames702]

Thanks for another informative video and for the work you do on your channel. I’ve learnt a huge amount from you. Please keep up the great work!

[@maevavinet]

Great video! It’s always confused me a bit how compounding works with index funds... if I invest £10,000 and it’s grows 10% year on year then in year 1 I would have a portfolio worth £11,000. Then in year two it will be £11,000 + ( 10% x £11,000)... this is the part which confuses me.... does my investment in a fund get closed and reinvested behind the scenes on a yearly basis? Apologies if you have covered this already in a video!

[@basilnyahunzvi9888]

Thanks Jennifer I’m learning a lot.

[@JenniferAMThomson]

You are so welcome!

[@lincepthomas]

Hi Jennifer, Thanks for your videos which is very helpful..is it possible to use vanguard to buy funds and stocks in Ireland? Thanks

[@CRUZA1994]

Hi there how do we invest in Vanguard VOO ETF using the site?

[@blue4100]

Thank you so much for these useful videos. I will soon start my investment journey, probably through Vanguard, and these videos help me have the confidence to do so. Could you do a small video explaining Vanguard's fees, perhaps showing how the fees are collected ? Many thanks again for these useful videos.

[@jaywarriuk]

blue4100 Vanguard’s fees are really simple. There is the platform fee, which is 0.15% of whatever you invest (capped at £375 per year, so if you invest more than £250,000, your fee will not increase more than this). You can pay this with cash out your vanguard account or by direct debit out of any other bank account. There is then the fund charge which is different for each fund. You will technically not ‘pay’ this charge, as it is factored into the return you get through out the year. You can also pay to buy etf’s at a live price, which I mentioned above, and this costs £7.50, but if you choose to buy etf’s at the next trading point, its free. There are no other fees to do anything else with vanguard uk. They’re really transparent :) all their fee information is on their website here www.vanguardinvestor.co.uk/what-we-offer/fees-explained Hope this helps

[@jaywarriuk]

blue4100 this is the total cost brake-down. Sorry should have included it www.vanguardinvestor.co.uk/content/documents/legal/vanguard-full-fund-costs-and-charges.pdf

[@moniquefrancesca9017]

james warrington Super helpful!!! Thank you

[@AmitDaryanani]

Hi Jennifer, I found this video very useful, thank you. I understand the price of buying an index fund fluctuates. With this in mind, is there a ticket code for index funds so I can track the price and look to buy it at its cheapest?

[@megzzr7522]

Hi Jennifer, I just found your Chanel and have been binge watching your videos. Thanks for your explanations. I have a question with the vanguard life strategy, say you go for the £100/month option, can you stop the regular payments once it gets to the £500 mark or is that a commitment you have to keep up with? Thanks x

[@HowToMakeMobileGames]

again, great video, very clear :) One question, are we able to withdraw our investment from an ISA at any point? Lets say there's a big emergency and I need all of the money in my normal back account by tomorrow, is this possible and is there a withdraw fee? thanks again for sharing

[@kierangoddard2198]

Thanks Jennifer.

[@suvsuv25]

Hi, if you sell shares from your vanguard isa, does the money go into your bank account? Is there a way to have the money as cash but still in the vanguard isa, ready to buy again when you like ?

[@StopDropandRoll17]

Hi thanks for your wonderful videos! But i have two questions: You placed and order for LS100 and said that maybe it will be processed at the end of the day or even in the next couple of days, is that right? Why is it like that? 2 days can make a huge difference on what you actually can but with the money you put in. And everyone is bragging so much the low fees of the LS 100 . if i just copy the main LS 100 "portfolio" trying to keet the fees of the funds on an avarage of 0.09% wound that be cheaper? Or im missing something? Thanks in advance :)

[@silaswaidande8105]

really informative video.. just a quick question I bought an index fund with a one-time payment. is their a way to top up the same index fund by 50 pounds every month?

[@stoicpoetrywisdom]

thank you for all your videos, I have been meaning to buy index funds but all the resources I found were american based. Thank you again!

[@JenniferAMThomson]

Happy to help!

[@robertcollins7034]

Happy new year ,mama furfur heres to a awesome 2020 x

[@JenniferAMThomson]

Thank you Robert - Happy New Year to you too!

[@robertcollins7034]

@@JenniferAMThomson thank you gorgeous:)

[@jembru]

Great video. Thank you for making this so clear. I'm almost ready to take that first step now!

[@74arcangelo]

Hi your videos are fab, do you know if I can transfer a cash ISA to stocks & share one? I wish to use Vangard for it, thank you

[@jaywarriuk]

A F yes you can transfer your cash isa’s to vanguard. There is more information on this here www.vanguardinvestor.co.uk/need-help/answer/can-i-transfer-existing-isas-and-junior-isas-to-vanguard

[@Biginjapan85]

Thanks for the video. Are there transaction fees for buying things like the S&P 500 ETF if you invest monthly? or are the fee's only for the 'buy live' option

[@zeenimy8037]

Hello mamaFurFur, Thanks for this informative video, I have a question please... I can’t seem to find the VTI stock( Vanguard total stock index) Or is it only for the American portfolio? What is the closest to the VTI on the UK vanguard website. Thank you mama.

[@mlea79]

Hi I’m not sure if it’s been covered in one of your videos or not but if I wanted to invest money for a new car in 5 or more years would I need to state when I would like my cash out on vanguard? Not sure how it works for withdrawing money?

[@gm836]

Do you get dividends from the Life Strategy 100?

[@fsk3430]

@mamafufur i want to buy vusa smp 500 but dont know if its better to use vanguard or trading 212 (isa) where i already trade stocks. Also because youre only allowed 1 stocks and shares isa a year should i stick to t212? I want to invest in smp500 for long term so realistically is t212 really going to be around in 20 30 years?....and yes im covered up to 85k of they go bust but then what happans to my hard earned gains? Appreciate a response. Thanks.

[@jasmineg8847]

Hi Jennifer - great video thank you! can you buy individual stocks on vanguard as part of your S&S ISA?

[@trashbat7331]

Nope. Use another platform or app if you want individual shares.

[@hashim3850]

Hey, great video thank you sharing! Have you got any videos about investing in s&p 500?

[@straightliner3332]

Great video, thank you for putting in the time to make them.

[@JenniferAMThomson]

My pleasure!

[@ludovicoriccardonocco5007]

Great video! I do have a question for the community. I've seen some investing videos on youtube that recommend investing in a total stock market index fund, rather than one focusing only on US equities. I understand the benefits of diversification and global exposure. However, when I look at the annualised return of the FTSE All-world Index in the last 5 years, I see a rate of 5.6%. Warren Buffett has said that he'll put in his will how he'll want his money to be allocated in 10% cash and 90% in an index that tracks the S&P 500 at low fees. Adding this into consideration, why would I put my money in the FTSE index (which has given a lower average return of 5.6%, with higher OCF of 0.22%) or any global market index fund, when I can put my money just in the US Market, with the "U.S. Equity Index Fund - Accumulation", which in the last 5 years has returned an average of 13.77% (on top of that for lower managing costs of 0.10%), provided I can handle the higher volatility? Any thoughts? By the way both of the indices that I mentioned are available with Vanguard.

[@katieanthony2978]

Thanks so much for these videos! I knew I wanted to buy a vanguard index fund but the book I bought on it (A Simple Guide To Wealth) was totally focused on the US so I had no idea which one to buy! Honestly thanks so much for giving me the confidence to finally buy!

[@skumar042]

Loved your content. Many thanks for your time & effort. Much appreciated. I've also bought your Auto Pilot Money system spreadsheet - its kool. TA, Santosh

[@quatie]

Have you ever used Wombat, if so what are your thoughts?

[@mfkhan4anb]

Hi there thank you very much for your videos that you post regularly I really enjoy your content and it’s really easy to understand and I just wanted to say a big thank you to you because you have really helped me understand trading I am very new to trading and you make it sound like it’s very easy so thank you.Very helpful and I love watching your videos

[@JenniferAMThomson]

Glad you like them!

[@renatomarques6039]

Hi, I am keen on starting investing and I'd liked to know if any of the investment account (e.g. Vanguard Lifestrategy , ETF or index) can be joint account (me and wife) or not? As the plan is a long term investing >10 years then I'd be happy to know if anything happens to me, then there is a possibility of the funds in the account being withdrawn by another person! Thanks

[@DominikCzajaDirtyDom]

so am i right to understand that basically i put in 100 pound per month, ideally get positive yield every divident payment which then reinvests itself (accumu). As my monthly deposits and positive divident yield go up with time, my overall money goes up? Also the 100 monthly minimum, can i spread that between say 4 differents funds or doest it have to be 100 in one? thanks in advance

[@rajvirthind1453]

very late on this video.... thank you for this very helpful information :)

[@JenniferAMThomson]

Glad it was helpful!

[@Homewithgeeta]

Hi Jenifer I have been watching your videos since last year and must congratulate for great easy to understand content. However just wanted to ask if it is still safe to invest through Vanguard during these uncertain times?

[@wkb9683]

1: Open a Vanguard account 2: Buy investment on ISA 3: Never sell for the rest of my life 4: Relax

[@JenniferAMThomson]

Love this broken down so simply - yes!

[@kbrp5493]

Hello, thank you very much for your content, very informative. I have a quick question, I currently have a Help to buy ISA, therefore will I also be able to open up an investment ISA? Thank you

[@arimakosai9621]

Its best to call HMRC to check if its fine. There is a difference between Cash ISA and Stock ISA but its still best to check.

[@natalialaurova1750]

I'm looking to move to dubai for a year or 2. Can I still have the investment isa or would I have to cancel the account?

[@chocolatesugar4434]

Thank you so much, this is everything!

[@ColourFreeStyle]

Are the life strategy funds made up of index funds? I have heard a lot about Vtsax index fund avaliable in the US what is the UK equivalent?

[@JenniferAMThomson]

Lifestrategy funds are a mixture of index funds and bonds depending on the % you choose - I would check out the Vanguard fund information on their website to help here.

[@websurfer1585]

Are there any SELF SELECT investment isas you know of, or would recommend, i would like to build a tax free portfolio of stocks of my own choosing? Also, when holding cash in one of these vanguard investment isas, does it attract any interest? And do you have to use it to buy stocks or funds within a certain time frame? thanks.

[@JenniferAMThomson]

Hi there - I believe Hargreaves Lansdown and similar investment companies offer a completely self select investment ISA for individual stocks. Be sure to have a look at them if you can. If you place cash in the ISA I believe it won't gain any interest at all, however remember the longer you leave it inflation plays a factor in it's worth.

[@websurfer1585]

@@JenniferAMThomson OK thanks, much appreciated.

[@jackchamberlain]

i didnt really know what i was doing and i opened a general account instead of an ISA. if i open an ISA can i transfer my current funds in the GA over to the ISA? also whats the pros and cons to a general account? thank you

[@WesD85]

I want to open an account and was wondering whether to open a general account or ISA. Did you find out what's best? I assumed a general account would be better as I'm not sure if I like the idea of being limited to £20k per year?...

[@mahatai9904]

Thank you for this informative video. Is the Life strategy fund ethical? And if not, how can you find the ethical fund with Vanguard please? Thanks

[@JenniferAMThomson]

I would check out their SRI funds, and a video on this topic coming out next week.

[@mahatai9904]

@@JenniferAMThomson Fantastic. Thank you. :)

[@InformWill]

21 years old, about to finish uni and head into the real world... Investing seems like a better option compared to just putting X amount into an ISA every month. Total beginner but as somebody in the UK looking to start out investing; thanks for the informative and helpful videos.

[@SkippaG]

Should i invest or pay off debts first? Or do both at the same time? I have about 15k debt which im working to pay off but wont be paid off fully any time soon. I feel like i should be investing some money too... thoughts?

[@TheDropdeadZed]

From what I've seen, mathematically the answer is whichever has the higher interest rate, you should be putting your money towards. But personally, I would try to pay off my debts sooner because of the psychological benefits plus the stock market return % fluctuates but your debt probably won't.

[@TheFishSchoolProject]

Tackle dept first, but ensure you have a small emergency fund available. 1k is a good start. Once that's achieved tackle dept head on. Investing is important but if you're investing while still holding dept it'll be like your borrowing money to invest, which is NEVER a good idea. Check out Dave Ramsey's baby steps if you haven't already :)

[@jaywarriuk]

Depends on what the debt is. You should not rush to pay off student loads. Over paying your mortgage can be a good move but it depends on your circumstances. Finance on cars and credit card dept should definitely payed off asap though as the interest payed on this kind of debt is usually high, which compounds over time.

[@garyreilly1544]

Hi Jennifer, Within the vanguard ISA can I for example buy the life strategy 60 fund with a regular monthly payment and then use other money to say buy the life strategy 100 fund under the same financial year umbrella? Enjoying your content by the way

[@jaywarriuk]

you can buy and sell as many funds as you like in the same tax year, as long as you don't exceed the yearly isa limit of £20000. if you did however decide to buy £100 a month of the life strategy 60 fund, and £100 a month of the life strategy 100 fund, you would technically be over-weighting equities to bonds. all the life strategy funds hold the same equities and bonds, just in different proportions. they are a fund, made up of other vanguard funds to make things easier for people who want to invest and forget and let vanguard handle the business of re-balancing (hence why they are slightly more expensive that vanguards simple tracker funds). my advice would be work out what allocation you want to equities and what you want in bonds and pay into the 1 life strategy fund that matches that.

[@palm6714]

Yes you can. I'm current putting money into 2 funds - life strategy80 and FTSE developed world ex-uk index fund.

[@stevecarr3019]

Yes you can I've just invested £20k spread between 3 lifestyle funds 40%, 60% & 80% with varying amounts between the 3 funds £10k £6k & £4k respectively just enter the amount in the boxes for each fund. Hope that helps.

[@JenniferAMThomson]

Hi Gary - just to follow everyone's messages - you can buy as many different funds as you like in one year as long as your total deposited is under £20k

[@shaf1485h]

@@stevecarr3019 so effectively with those three funds you have LS 60. Sell two and keep one that suitable to your risk level. When investing especially for beginners keep it simple.

[@user-ho4tb5qe7v]

So when you buy a fund, you have to rebuy it every month?

[@seangallagher1726]

I have just discovered your channel! I am based in north of Ireland, so it is great to see someone from Scotland (U.K) educating on investments! May I ask why you prefer the lifestrategy option over just investing in say the like of the S&P 500? Thank you!

[@JenniferAMThomson]

Great question - for me the LS fund gives me global diversification and also a blend towards bonds if I wish too. They balance the fund for me, so makes it super simple to look after.

[@seangallagher1726]

@@JenniferAMThomson Thank you so much for replying! I actually invested in s&p 500 index fund with vanguard a few days ago. I would like to hear your thoughts on diversifying, by adding another index fund that isn't 100% U.S. companies. Due to compound interest, investing 50:50 in two different index's would no doubt hamper the potential for greater returns in the future say 10-20 years, if instead you just focused on putting your money in one. Would love to hear your thoughts. Thank you for reading!

[@vndm97]

Hi, how could you buy with only £25. I thought the minimum lump sum is £500 or monthly £100? Can anyone explain?

[@mattjames88]

Great video Jennifer. I'm investing more in the global all cap now, but do have some investment in the LS100 as well. Really looking forward to the SIPP, be great if you could do a video on that once it's out 👍👍

[@JenniferAMThomson]

Hi Matt - already planned for the pension video :) thanks for the comment

[@shaf1485h]

The global cap would be better diversified than LS100.

[@lovelylizzyltg78]

Really useful. Thank you 😊

[@JenniferAMThomson]

Glad it was helpful!

[@wearedeckheads]

Thanks as always!

[@JenniferAMThomson]

Thanks again!

[@jeromea4679]

Hello Jennifer, I just wanted to ask you how often dividends are reinvested using vanguard?

[@jaywarriuk]

Jerome Adrien this depends on the fund you invest in. Only accumulation funds automatically re-invest dividends. You can look up what an accumulative fund will earn per year as a dividend by looking at the distribution tab on that fund, but you will notice where it says distribution frequency it will be left blank. This is because it technically does not pay a dividend, it collects dividends from the underlying shares of companies which the fund owns on your behalf and automatically adds the dividend that company pays to your part of the fund. You don’t see it because all the different companies will probably pay their dividends at different times in the year. Hope that made sense

[@vibewithmike27]

it is showing that the minimum monthly amount i can put is £100. please help

[@tamsinwood2]

Great video, thanks. This is really useful. I invest with vanguard and it's taken me some time to understand the website.

[@IFilmStuff1]

Can someone please explain to me, I currently have a Lifestratergy 100, my end goal is to live off the dividend so does that mean once I have enough saved up I should sell the lifestratergy shares and re invest in a dividend paying account?

[@EstherCole]

I think it depends if you have the lifestrategy accumulation or income option. Only the latter pays dividends. The former reinvests into more stocks and shares. Hope this helps!

[@danielbrunskill2361]

Hi, as a beginner investor with limited cash to throw at this. Would you recommend investing a lump sum in these funds initally? It seems that the £100 monthly minimum payment might be a bit too risky. Especially if some months i dont have the money to put in. Do you have to pay in every month? Thank you.

[@keironmcdonald3018]

This is what I would like to know also. Did you get any further information on this cheers?

[@allyshimmer]

Please, something was unclear to me during the video. If you usually buy Lifestrategy for your investment ISA, and you want to buy some index funds with spare money, is it still in the ISA tax free wrapper?

[@JenniferAMThomson]

Yes - you need to put it into your Investment ISA but up to £20k deposited per year is tax free.

[@allyshimmer]

MamaFurFur thank you! I know you’re only allowed to have one investment ISA per tax year so I was wondering if buying different products meant different ISAs

[@mrnathanielshaw]

I’ve recently set up a Help To Buy ISA - can I setup another ISA next year for investing. Is the £20000 cap split between these?

[@JenniferAMThomson]

You can have one Cash ISA and one Investment ISA a year you pay into, so yes you can have an Investment ISA if you wish too

[@redking4607]

If I pay £100 monthly, can I stop this at any time?

[@VoiceOfThe]

Trying to decide between a LifeStrategy 80% or 60% Fund. Considering splitting monies between both accounts. According to my age I should have a 53% equity mix, so on this basis I’m over exposed to the equity risk. Also, the downside with Vanguard is, it isn’t as diversified as it seems? Only invests in its own funds around 79 compared to other platforms? Also, trying to figure out if these LifeStrategy Funds invest in commodities, or specifically crypto? Anyone?

[@alfiejones4506]

Are you considering opening an account with Robinhood once they're available in the UK int he next few months?

[@JenniferAMThomson]

Yes indeed - this is my plan actually

[@perryroland5466]

This is really a great video MamaFurFur! Amazing contents. Now is a great time to invest in the stock industry, as there’s no secret to financial freedom other than stock investment.

[@adamek9750]

What videos should I watch? I’m still in university but I’ve saved up quite a bit of money and wondering what to do with it.

[@jaywarriuk]

hi, other than mamafurfur videos, pensioncraft are extremely good. here are his beginners playlist kzbin.info/aero/PLlqeAQqQK7TcG9QNlRJ_QjI8iX_q_I8jo

[@JenniferAMThomson]

Hi Apex Alert - start with my Best of Playlist on this channel and work through as much of my back content. Lots of videos breaking it all down for you and making it easier to understand

[@adamek9750]

MamaFurFur Cheers thank you!!

[@CMAV8202]

Thank you for this🙏 so I'm assuming that using accumulater class, you'll leave it for years and the compound interest and dividends from this will increase the price which you can then withdraw at a higher price?

[@aidanmcbride123]

Thanks

[@warrenfitchett7689]

Why do I have to put either £500 in or £100 a month, but it lets you do £25? Thank you

[@JenniferAMThomson]

Because I already have an Investment ISA open with £100 a month direct debit. I'm then allowed to put whatever amounts in addition to that if I wish :) Thanks for the great question.

[@stevehen1000]

Hi Jennifer, Thank you for another great video. Yes, I think it's a really good idea to show people how the process works and what screens to expect when making an investment. However, a question that came to mind is how do you go about setting up the account. I mean do you need to provide proof of identification or something? Also, just wondered if you are aware that there are many experts now predicting a financial crash and stockmarkets around the world melting down? These same experts are also recommending you keep at least around 10% of your savings in precious metals as a Hedge or Insurance against another 2008 like crisis. All the best. Stephen

[@jaywarriuk]

stevehen1000 you need your national insurance number and lots of your own personal details to set up an account. Its quite straightforward. Also, if you buy your chosen fund or etf with the ‘£ cost averaging’ method which is investing the same amount every month at the same time, regardless of the price of the fund/etf at that moment, you have nothing to worry about. You should research what the fund/etf is investing in before you buy it and you should be comfortable with how it will perform over the long term. If the market does crash, don’t sell at a loss, hold on to them and buy more at a discounted price! If you buy the vanguard s&p500 etf at 0.07% for example, you are buying shares in America’s 500 biggest companies! Companies like facebook, google, amazon, etc! This index will drop in value at times, it lost 38.49% of its value in 2008 - 2009 but returned to record highs of at least 4 times its value of that 10 years later (the performance will not always be like this in the future) but its extremely unlikely that all 500 companies in the index will go bust, and you will loose all your money.

[@Truckerkris]

I want to invest but my wife says no lol. I have my work place pension and a private pension with pension bee and a regular savings account with a 0.05 returns. I think I may need to get more knowledge of all these investments to possibly commit and to convince my wife lol.

[@cback12]

Thankyou

[@IBRAHIMKHAN-gz3et]

I just created my account in vanguard today and I told them to contact you and pay you referral commission and I also gave them your KZbin channel address

[@gonzalo4526]

How come I have a minimum of £500 to buy any sort of index fund or ETF??

[@Trupak786]

Thank you for uploading. I’m new to this and would like to know what kind of returns one could expect from index funds? For example, what % have you received since joining Vanguard’s fund?

[@JenniferAMThomson]

You can have a look at any funds you wish to consider and see past history - however remember past does not tell us what they will do in the future. I've seen 7% this year of investing, but that doesn't mean I will achieve that this year again - perhaps more perhaps less - but that is the nature of investing.

[@lagadicmatthieu8933]

Hi Jennifer, nice video but they don't tell much about the possibility to buy the share of some specific company on the Vanguard UK website. I'm wondering if it's possible to buy some through an general account in addition of the equity bonds, ETF, pension funds and retirement funds.

[@TheDropdeadZed]

I have a few questions that would be great if you could respond to, about vanguard. I just started the LifeStrategy 100 fund the other day and was wondering how those costs (0.22%) were taken. Am I invoiced the amount they want me to pay, or do they simply skim off 0.22% of any interest earned on my index fund, so essentially it's invisible and I don't have to worry about it? Also, as for the ISA yearly limit, in the distant future, assuming it's still 20k and I've kept up with investing so that my yearly interest is close to 20k, would this count as my ISA contribution for that year, meaning I can't invest in it anymore for that year? Or does that 20k just get used to rebuy stocks immediately so doesn't count towards the total ISA contribution? Thank you for teaching me how to use Vanguard! I didn't have any specific new years resolutions and have always been responsible with money but I might make this be my resolution - to contribute at least £100 a month to my vanguard fund.

[@jaywarriuk]

The 0.22% is ‘skimmed’ off any interest you get, so yes you technically don’t see it. It explains it in their website here www.vanguardinvestor.co.uk/what-we-offer/fees-explained As with the isa limit, the gains you make do not count towards your limit. If you invest £1000 and it ‘grows’ to £1200, you can still invest £19000 of your isa limit. This also works in reverse. If it shrunk to £800, you would still only be able to invest the remaining £19000 limit

[@TheDropdeadZed]

@@jaywarriuk Thank you for the response. I realise I should have researched a bit more into the costs even though they're unavoidable haha. For the 0.15% annual account cost, would it be better to have it billed by direct debit from my bank account or taken from my investment total? Or does the difference literally amount to pennies? I'm thinking being billed by direct debit would save you pennies but taken from the investment total would be better for 'autopilot' and not worrying.

[@jaywarriuk]

TheDropdeadZed its worth noting that 0.15% is only £1.50 for every £1000 invested, so it isnt a lot. It costs the same whether you pay it from your vanguard account or by direct debit. If you opt to pay it from your vanguard account, and you don’t have cash available in your account to cover the cost, vanguard can sell some of your investments to cover the charge. I personally don’t like this as i like to decide when i sell my investments, so i opt to pay it via direct debit.

[@ienobik4414]

Great content as always. I'm about to dive in but still don't know which firm to go with. Vanguard or Fidelity ? Your thoughts on Fidelity ?

[@JenniferAMThomson]

I use Vanguard as I believe they have the lowest charges and fees, so have a look at how you wish to invest and how often - that could decide it for you

[@shaf1485h]

It depends on what you want, Vanguard fees may be lower but Fidelity offers more flexibility in its offering. With Fidelity you can buy anything but with Vanguard you have no option but to buy their funds and ETFs.

[@theinsideguru4183]

How did you mange to put £25? When I tried to open the account it said min £500.00

[@JenniferAMThomson]

Great question - I already have an Investment ISA open with them so can deposit any amount. To open an account, you need to commit to £100 a month or £500 lump sum initially then can add any amounts you wish

[@sunnym8941]

Hi MamaFurFur. Thank you for your great content! I have a question of which I can't seem to find the answer on the Vanguard website. If I let's say wanted to invest in the US equity index fund, the minimum investment amount is £500 and the regular min. amount is £100. The funds price is around £550. Let's sat after 4 months I would have put in £800 (min £500 and three regular £100 payment). Does that mean Vanguard would only buy one fund unit (£550) and the remaining £250 will not be used until after a few more months another £550 can be used to buy another unit OR does the £250 get used to buy partial shares of a fund unit? If partial shares are not used then maybe going for an ETF is better as the fund prices are so much smaller. I'm thinking of starting my investing journey this weekend! Thanks :)

[@JenniferAMThomson]

Hi Sunny - normally it will allow you to purchase the "partial shares" version of the cash value you have to deposit. It tends to be only with ETFs that we see the "buy full share" requirement for how much we deposit, and then again when we are looking to purchase individual shares with companies (not Vanguard). Remember you can either deposit £100 a month OR £500 lump sum to open an account - so you don't have to do both. Hope that helps

[@sunnym8941]

@@JenniferAMThomson Thank you for your help. :)

[@kamilbednarek5076]

It it true that vanguard has a 20$ annual fee? Because If I invested 500 pounds in the ISA and they took away 20$ every year, it would SO NOT be worth it.

[@kamilbednarek5076]

please let me know if there is a way to avoid the 20$ fee. Thank you for your time MamaFurFur.

[@JenniferAMThomson]

They have an admin fee of 0.15% of your portfolio - most investment platforms have a form of admin fee regardless, so in the UK that is the only "charge" as such but doesn't equal £20 out of £500. 0.15% is more like 75p fee every year on £500.